STRATEGIC PRIORITY: Government Performance and Financial Management
AGENDA DATE: January 22, 2020
COUNCIL DISTRICT(S): 6, Outside City Limits
DEPARTMENT: Office of Procurement Services
EXECUTIVE: Elizabeth Reich
______________________________________________________________________
SUBJECT
Title
Authorize a three-year master agreement for hydrogen peroxide for the Water Utilities Department - Evonik Corporation, lowest responsible bidder of five - Estimated amount of $1,123,500 - Financing: Dallas Water Utilities Fund
Body
BACKGROUND
This action does not encumber funds; the purpose of a master agreement is to establish firm pricing for goods, for a specific term, which are ordered on an as needed basis according to annual budgetary appropriations. The estimated amount is intended as guidance rather than a cap on spending under the agreement, so that actual need combined with the amount budgeted will determine the amount spent under this agreement.
This agreement will provide National Sanitary Foundation 60 certified hydrogen peroxide for water treatment at the Bachman, Eastside, and Elm Fork Water Treatment Plants. Hydrogen peroxide is necessary for the enhancement of the biological filtration process. The peroxide enhancement strategy improves hydraulic performance and helps ensure that production meets both demand and quality standards set by the Environmental Protection Agency and the Texas Commission of Environmental Quality. The Water Utilities Department provides service to an estimated two million people in Dallas and surrounding communities.
As part of the solicitation process and in an effort to increase competition, the Office of Procurement Services used its procurement system to send out email notifications to vendors registered under relevant commodity codes. To further increase competition, the Office of Procurement Services uses historical solicitation information, the Internet, and vendor contact information obtained from user departments to contact additional vendors. Additionally, in an effort to secure more competition, the Office of Business Diversity sent notifications to chambers of commerce and advocacy groups to ensure maximum vendor outreach.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On August 10, 2016, City Council authorized a three-year master agreement for the purchase of hydrogen peroxide to be used in the water purification process with U.S. Peroxide, LLC by Resolution No. 16-1171.
FISCAL INFORMATION
Dallas Water Utilities Fund - $1,123,500.00 (Estimated amount)
|
Fund |
FY 2019-20 |
FY 2020-21 |
Future Years |
|
Dallas Water Utilities Fund |
$374,500.00 |
$374,500.00 |
$374,500.00 |
|
Total |
$374,500.00 |
$374,500.00 |
$374500.00 |
Council District Amount
6 $ 133,500.00
Outside City Limits $ 990,000.00
Total $1,123,500.00
M/WBE INFORMATION
In accordance with the City’s Business Inclusion and Development Plan adopted on October 22, 2008, by Resolution No. 08-2826, as amended, the M/WBE participation on this contract is as follows:
|
Contract Amount |
Category |
M/WBE Goal |
M/WBE % |
M/WBE $ |
|
$1,123,500.00 |
Goods |
18.00% |
0.00% |
$0.00 |
|
• This contract does not meet the M/WBE goal, but complies with good faith efforts. |
PROCUREMENT INFORMATION
Method of Evaluation for Award Type:
|
Low Bid |
• Recommended vendor is based on the lowest competitive quoted price, who is also technically and financially capable of performing and completing the contract, and otherwise meets all material specification requirements • Negotiations are not allowed |
The Office of Procurement Services received the following bids from solicitation number BC20-00011816. We opened them on October 31, 2019. We recommend the City Council award this master agreement by group to the lowest responsive and responsible bidders. Information related to this solicitation is available upon request.
*Denotes successful bidder
Bidders Address Amount
*Evonik 299 Jeffersson Rd. Group 1 - $915,000.00
Corporation Parsippany, NJ 07054 Group 2 - $133,500.00
Group 3 - $75,000.00
Evoqua Water 2650 Tallevast Rd. Group 1 - $988,200.00
Technologies LLC Sarasota, FL 34243 Group 2 - $144,180.00
Group 3 - $81,000.00
Unviar USA, Inc. 8201 S. 212th St. Group 1 - $1,051,030.00
Kent, WA 98368 Group 2 - $153,347.00
Group 3 - $86,150.00
U.S. Peroxide, LLC 1375 Peachtree St. NE Group 1 - $1,281,000.00
Suite 300N Group 2 - $186,900.00
Atlanta, GA 30339 Group 3 - $105,000.00
BASILEIA Group, Inc. 1102 Pinemont Dr. Group 1 - $103,090,000.00
Suite F Group 2 - $15,041,000.00
Houston, TX 77018 Group 3 - $8,450,000.00
OWNER
Evonik Corporation
Stephen Costanzo, General Manager